Around the World's Markets: Germany

THE DAX index extended its losses, falling more than 1 per cent as car maker Volkswagen gave up most of the day's gains, banks and retail stocks were weaker, and chemicals group Bayer was down 5.6 per cent on disappointing first-half results.

The late slide left traders expecting another gloomy session today. German banks, which are heavily engaged in Russia, were hardest hit and their shares extended an already weak performance.